Christy Clark's new focus on job creation and protection won't prevent BC Hydro layoffs, according to a spokesperson from the office of the premier.
The premier said yesterday that "she is focused on developing a jobs agenda, to be announced in September, that aims to unlock private sector job creation," according to an article in the Globe and Mail, which could mean undoing "job cuts in the so-called 'dirt ministries' -- energy, mines and forestry -- that issue permits, licenses and tenures," it said.
But this new focus on job creation doesn't mean BC Hydro will escape new cost-cutting measures recommended by a government review of the Crown corporation, which suggested cutting up to 1000 jobs.
As a result of the new cost-saving measures, including job cuts, a government statement said "the Province and BC Hydro have agreed to ask the [B.C. Utilities Commission] to lower the earlier proposed annual rate increase of 9.73 per cent a year for the next three years to the current interim eight per cent increase, followed by a 3.9 per cent increase for each of the following two years," a 50 per cent reduction to previously proposed rate increases.
But NDP Energy Critic John Horgan is dissatisfied with job cuts as a solution to future rate increases.
"Much of the staff increases have been as a result of B.C. Liberal policies. The need to have more engineers is to ensure that when we're tying private power into our grid that it's done safely, efficiently and up to a standard that's acceptable to the people of B.C.," said Horgan, referring to the requirement that BC Hydro purchase electricity from within the province.
Horgan was also concerned about the report's mention of communication staff. What the report called a high number of internal and external communications staff, Horgan said, could also include staff from Hydro programs like Power Smart, a program dedicated to encouraging energy conservation in B.C., not just "a room full of spin doctors."
He said there are other ways to reduce rate increases, and suggests scrapping the controversial smart meter program for one, which the government has said it's implementing to upgrade the transmission system.
The CBC reported last week that "BC Hydro CEO Dave Cobb said Thursday the Crown corporation could get by with cutting just 350 jobs -- not the 1,000 the government review recommended."
But Energy Minister Rich Coleman was quoted in a Globe and Mail article Tuesday as saying "I think the report was pretty clear that it should be 4,800 people -- I think we have to work to that." The report recommends reducing BC Hydro's staff of approximately 6,000 to a staff of 4,800.
"He plans to scapegoat a thousand employees for the skyrocketing electricity rates his government caused," said Horgan in a statement yesterday.
Spokespersons from the Ministry of Energy and BC Hydro could not be reached by posting time.
Ainslie Cruickshank is completing a practicum at The Tyee.
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Vox.Pop
40 weeks ago
BC Hydro 'Accounting'
The following is a letter to the editor of the Vancouver Sun on its headline story on BC Hydro. I'm reposting it here as it is very unlikely that it will appear in the pages of the propaganda sheet of the BC Liberals.
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The decision to publish a headline article on BC Hydro was a welcome change from murders, gangs and rioting that usually obsesses the media. This major story on BC's "crown jewels" exposed how the BC Liberals have continued to hide billions in costs that would be an embarrassment to them at election time. This deception was also undertaken so that they could then suck out billions from the resulting phony profits. It is a pity that Vaughn Palmer, with his prodigious memory for facts, did not include these numbers in his otherwise informative report.
Several of these so-called "deferral and regulatory" accounts are for initiatives that don't seem to be good business decisions, like the one billion in costs for Power Smart and another billion for the nonsense of the Smart Meter program. These efforts don't look too "smart" to many of us.
All of this deceitful accounting had the primary political benefit that it allowed the Liberals to continue the illusion that they were sound financial managers of the province. Sheer baloney; this was how Enron could appear so profitable when they used "off-balance sheet entities" to hide the true costs of their activities. At least, the Enron executives ended up in jail.
Worse, the government has been jacking up the water rates to OUR corporation - another silent way to skim billions from the BC public. All of this from BC Hydro's executive team formed mainly of accountants (including the CEO), a profession that is well known to be subservient to their clients (check out Enron's auditors, Arthur Andersen). Just to guarantee compliance with the wishes of their political masters, these executives (several promoted over from the last BC Olympics management team) were paid lavish bonuses.
All of this so we, the customers, will have to pay higher electricity rates for many years to come. We don't care if Hydro's rates are "competitive"; we have no choice but to pay whatever appears on our monthly electric bill.
The prime objective for BC Hydro should be to provide electricity for all of BC at the lowest rates to all of its owners - the citizens of British Columbia.